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Bank transfer before moving cards

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Hey Everyone,

I am considering doing a bank transfer (approx £1k) ahead of moving to a new 0% deal in order to make a cash purchase. My plan is that although I will be charged a transfer fee for this, I will avoid the huge interest rates this would attract as I would be closing the account shortly after (and moving the balance to a new card).
Am I missing something as this seems like an easy way to release cash from credit cards?

Thanks 

Comments

  • As long as you're happy with the cash fee, short term interest and the BT fee, then it's fine.

    No need to close the account after the BT.
  • Is there a benefit to not closing the account? As the 0% period will have ended I won’t be needing that card again? Is it a good thing for credit rating etc?
  • It would maintain credit history and not give lenders cause to think you are not trusted.

    Plus, it's wise to have at least two or three cards as back ups.
  • Great, thanks!
  • daivid
    daivid Posts: 1,286 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    I read it as you already have the CC the balance will be transferred to. If not get it first. Also to minimise time accumulating interest make the MT then BT it away on the same (working) day, if you are lucky you can just have a day’s interest charged. An extra day or two of interest might not be much on £1k but this is MSE…
  • Thanks David - good tip on getting the card first thanks. Had been wondering about timings of things.
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